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Highlights

  • AMCIL is an investment company that manages portfolio comprising large and small companies of the Australian equity market
  • Teele (Bruce Ballantine) and Teele Family Super Pty. Ltd. are the top two shareholders of AMH with shareholding of around 16.04% and 6.38%, respectively
  • In the FY23, the company registered a net profit of AUD 7.6 million

AMCIL Limited (ASX: AMH) is an investment company that manages a portfolio that includes large and small companies in the Australian equity market. The corporate objective of AMCIL is to provide shareholders with returns that outperform the market over the long to medium term by capital growth along with dividend income.

The investment company registered a net profit of AUD 7.6 million during the financial year 2023 (FY23), down by 6.9% over the previous corresponding period. Excluding the dividend arising from Woodside/BHP Petroleum merger, the net profit for 2023 has increased by 24.1%. Total revenue during the reported period decreased by 8.92% to AUD 9.77 million, and basic earnings per share dropped by 9.33% to AUD 2.43 million.

Although the company registered a decline in profit in FY23, it announced a dividend of AUD 0.040 per share with an ex-date of 4 August 2023 and a pay date of 24 August 2023. The dividend declared includes 25 cents of final dividend and 15 cents of special dividend. The dividend announced is 100% franked.

Here’s the historical financial trend of AMH:

Top 10 shareholders of AMH

The top 10 shareholders of AMH together have around 37.58% stake in the company, while the top four shareholders have a 29.93% stake in the company. The maximum stake is held by Teele (Bruce Ballantine) and Teele Family Super Pty. Ltd. with a shareholding of approximately 16.04% and 6.38%, respectively.

Recent business update

Today (11 August 2023), AMH has shared an update on the final dividend announced for FY23.  The company informed that 97 cents is the price applicable for DSSP (dividend substitution share plan) and DRP (dividend reinvestment plan) for the final and special dividend.

In another update, dated 3 August 2023, AMCIL reported net tangible assets per share of AUD 1.05 (after tax) as of 31 July 2023, compared to AUD 1.03 on 30 June 2023. The company informed that the one-year return of its portfolio was 7.2% as of 31 July 2023. In contrast, the one-year return of the S&P/ASX 200 accumulation index was 13.5%, including franking.

In AMH’s portfolio, CSL has the maximum weightage of 9.6%, followed by BHP with a weightage of 5.8%.

Outlook

AMCIL said that it is focused on its stock selection quality and believes that it will help in navigating through the challenging economic period expected ahead

The company manages a diversified portfolio of quality companies, which is likely to benefit from dividend and earnings growth and deliver above-market returns in the medium to long term.

Share performance of AMH

AMH shares closed 0.52% up at AUD 0.975 apiece on 11 August 2023 with a market capitalization of AUD 302.53 million. Including this, the stock has lost 12.16% in the past 12 months and 8.01% in the past six months. On a year-to-date basis, the share price has dropped by 4.88%.

The 52-week high of AMH is AUD 1.140 apiece, recorded on 6 September 2022, and the 52-week low is AUD 0.955 apiece, recorded on 28 March 2023. The difference between the 52-week high and the existing stock price is 14.47%.

 

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

 

Note 2: The reference date for all price data, currency, is 11 August 2023. The reference data in this report has been partly sourced from EODHD/Others.